Secure Logistics Market Size, Share & Trends Analysis Report By Application (Cash Management, Diamonds, Jewelry & Precious Metal, Manufacturing), By Type (Static, Mobile), By Region, And Segment Forecasts, 2023 - 2030

Report Overview

The global secure logistics market was valued at USD 78.60 billion in 2022 and is projected to grow at a compound annual growth rate (CAGR) of 8.9% from 2023 to 2030. Secure logistics involves secure storage, handling, and transportation of products, goods, and confidential information throughout the supply chain's journey from point of origin to point of destination. To minimize the risks involved in transportation, including theft, damage, loss, or unauthorized access, stringent security measures are required. The rising security concerns among corporates and banks have increased the requirement for secure movement and management services for currency. The European Union has established a structure for overcoming the constraints and facilitating the mobility of production factors, which include land, labor, and capital. The banking industry across the globe is transforming owing to the changes in technical innovation and deregulation of financial services.

Banking in emerging economies is traditionally a highly protected industry having regulated deposits and restrictions for domestic and foreign entry. However, technological advancements and macroeconomic pressures have forced the banking industry to open up the market to foreign competition. BRICS countries are also expected to have a large inflow of Foreign Direct Investments (FDIs) among other emerging economies. The growing skilled labor force, rapid globalization, and a rise in the number of young consumers have acted as the driving factors in these regions.

In addition, the increasing number of High Net-worth Individuals (HNIs) and the growing need for wealth management services are expected to influence the growth of the banking sector in the emerging market. High net-worth individuals will invest in cash deposits, real estate, debt portfolios, and equities. The State Bank of India (SBI), for instance, is focusing on wealth management, retail banking, and personal banking services.

Application Insights

On the basis of applications, the global market has been further segmented into cash management, diamonds, jewelry & precious metal, manufacturing, and others. The others application segment includes retail and public infrastructure. The cash management segment led the industry in 2022 and accounted for the largest revenue share of more than 55.6%. The segment is expected to remain dominant even during the forecast period. This growth is attributed to the rapidly growing penetration of ATMs in emerging countries.The cash management segment includes cash-in-transit, cash processing, and ATM services.

Cash-in-transit involves picking up money from the banks and delivering it to the designated cash points, such as ATMs. The service providers utilize armored trucks to transport valuables that reduce risks and increase security by reducing the opportunity for theft. The carriers offer Automated Teller Machine (ATM) services in conjunction with the traditional cash-in-transit service and are regulated by regional, national, and local legislation. The responsible authorities for the industry include the Ministry of Justice, the Ministry of Interior, and the Police. The development of innovative and efficient goods is the primary focus of the market players.

For instance, in 2022, Prosegur and Forética, a significant organization in corporate social responsibility and sustainability in Spain, signed a cooperation agreement to form alliances that will help speed the transition to a sustainable model. Furthermore, market players are focusing on partnerships and collaborations to gain competitive advantages. For instance, in February 2022, Brink’s Inc. signed a partnership agreement with Courtyard, which is a physically-backed NFT platform. In 2018, Brink’s Inc.’s Canadian subsidiary had signed a multi-year collaboration with Canopy Growth Corp. Brink’s Inc. and Canopy Growth will build a cross-selling program that would allow Brink’s to provide solutions to Canopy Growth’s connected cultivators and retail clients.

Type Insights

On the basis of types, the global market has been segmented into static and mobile. The static type segment registered the highest market share in 2022 and is expected to dominate over the forecast period. The segment is expected to remain dominant throughout the forecast period. For security purposes, manned guards are employed in the static type. The security guards stationed at various points aid in the logistics transportation’s security. For the market, several players provide guarding services. These companies offer specialized logistics security solutions aimed at exposing security breaches, reducing shipment loss & damage, and preventing theft.

The mobile type segment, on the other hand, is expected to register the fastest growth rate during the forecast period. This growth can be attributed to the increasing advancements in secure journey management services. The providers offer vehicles with electronic countermeasures as well as radio and satellite communication systems. Electronic safes are primarily used by financial institutions to reduce management downtime. Service providers partner with several safe manufacturers to offer a wide scope of electronic safe services of various sizes.

Regional Insights

Europe held the largest share of more than 42.1% of the global market in 2022 and has become one of the most influential markets. The increasing penetration of ATMs, coupled with the growing use of ATMs in emerging economies, is expected to spur regional growth. The rising rate of cash circulation and trade investments among European countries opens up a whole range of secure logistics opportunities. In the future, trade policies among countries, as well as Brexit difficulties, will have a significant impact on market shares. An article published by ATM marketplace in 2018 mentioned that few nations, such as Italy, the Netherlands, and Spain, are concentrating their efforts on limiting the number of ATMs and bank branches to reduce high operational costs and promote electronic payment systems.

The emerging markets, such as Brazil, Nigeria, and Iran, are expected to portray a high demand for new ATMs owing to the development of financial institutions in the region. The Australian Federal Police and customs made a joint venture to form the Reduce Aviation Freight Theft (RAFT) project to investigate aviation theft in Australia. The Transported Asset Protection Association (TAPA) forum was formed, which unites the global manufacturers, freight carriers, logistics providers, law enforcement agencies, and other stakeholders with the aim of reducing losses from the international supply chains. In the European Union, the theft of high-risk, high-value products was estimated to cost over 8.2 billion Euros a year.

The Asia Pacific market is expected to register the fastest CAGR of 12.2% during the forecast period. Asia Pacific is expected to grow significantly owing to the factors such as rising demand for ATMs, expansion of financial institutions, and increasing theft of freight. The North American region is expected to register a considerate market share in 2022 owing to the popularity of cash transactions and consumer preference for mode of payment in North America. However, due to the high number of COVID-19 cases, especially in the U.S., the North American market sustained significant economic losses in the first two quarters of 2020. The region's logistics supply chain was immediately impacted by the downturn in economic growth. However, in order to cope with losses and maintain commercial operations, logistics and supply-chain industry participants place a strong emphasis on digital technologies. Several logistics firms are concentrating their efforts on capturing recruitment opportunities and investing in digital technologies. This is expected to drive the digitization of the logistics supply chain market in North America.

Key Companies & Market Share Insights

In developed economies, service providers offer the analysis of currency flow and forecast the amount of money necessary for different ATMs. Industry players are adopting M&A to enhance their product portfolio and expand their global presence to achieve economies of scale.For instance, in May 2022, Brink’s Incorporated partnered with Metaco, a Swiss-basedcryptocurrency custody firm, to develop physical disaster recovery solution for safeguarding private cryptocurrency key. The physical backups are offered to the users in the form of smartcards. Some prominent players in the global secure logistics market include:

• Brink’s Incorporated

• CargoGuard

• CMS Info Systems (CMS)

• G4S Limited

• GardaWorld

• Lemuir Group

• Loomis AB

• Maltacourt

• PlanITROI, Inc.

• Prosegur

• Allied Universal

• Securitas AB

Secure Logistics Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For the purpose of this study, Grand View Research has segmented the global secure logistics market report on the basis of application, type, and region:

• Application Outlook (Revenue, USD Million, 2017 - 2030)

  • Cash Management

  • Diamonds, Jewelry & Precious Metals

  • Manufacturing

  • Others

• Type Outlook (Revenue, USD Million, 2017 - 2030)

  • Static

  • Mobile

• Regional Outlook (Revenue, USD Million, 2017 - 2030)

  • North America

    • U.S.

    • Canada

  • Europe

    • U.K.

    • Germany

  • Asia Pacific

    • China

    • India

    • Japan

  • Latin America

    • Brazil

    • Mexico

  • Middle East & Africa